Vitalik Buterin Unveils Plan to Make Ethereum Privacy-Friendly

Ethereum co-founder Vitalik Buterin just proposed a major shift in how the blockchain handles privacy.

Ethereum (CRYPTO: ETH) co-founder Vitalik Buterin has shared his thoughts on how to make the blockchain more privacy-friendly.

In a recent blog post, Buterin proposed a framework for shifting the focus of Layer-1 on privacy—without altering the core infrastructure of Ethereum.

Here's a summary of Buterin's vision for privacy-focused blockchain:

* He suggests adding privacy-enhancing protocols (PEPs) to provide users with more control over their data. For instance, integrating tools like Railgun directly into Ethereum wallets for managing shielded balances from the start.

* To prevent platforms from linking your activity across decentralized applications (dApps), he recommends assigning a different Ethereum address for each dApp, although it adds complexity.

* He proposes an option to "send from shielded balance," which should be turned on by default and feel natural, like any other wallet feature.

* For self-transactions to maintain privacy automatically, they should not appear in the UI at all.

* Buterin also touches upon the importance of technical changes, such as upgrading Ethereum’s state trie to "efficiently handle large numbers of private transactions." He proposes using techniques like Merkle proofs to enable efficient verification of transactions without revealing the full state.

* He highlights the need for efficient STARK-based proofs for enabling privacy-enhancing protocols like STARKNET to scale efficiently.

* He suggests exploring efficient cross-chain communication protocols to minimize the overhead involved in juggling multiple environments.

* Finally, he proposes exploring advanced cryptographic techniques for building more expressive and powerful privacy-enhancing protocols.

Buterin's roadmap aims to integrate privacy-enhancing protocols into existing tooling and user flows. He envisions a future where users can seamlessly manage shielded balances, assign unique addresses for dApps, and enjoy automatic privacy in self-transactions.

Moreover, he suggests exploring advanced cryptographic techniques for building more expressive and powerful privacy-enhancing protocols.

"We can do better. We should strive for an Ethereum that protects user privacy by default," Buterin concludes.

As concerns over blockchain surveillance continue to rise, Buterin's proposal could be a game-changer that encourages developers to prioritize security and user control in an innovative way.